Exam MB-310 topic 6 question 3 discussion

A. User7 is running the report in CompanyB The most likely reason for the sales tax payment report excluding posted invoice transactions is that User7 is running the report in CompanyB, which uses the conditional sales tax method and only includes CompanyB’s transactions. This excludes taxable transactions from Fourth Coffee and CompanyA (e.g., for CustomerX and CustomerZ), which are likely recorded in those legal entities using the standard sales tax method.

C is not correct because CustomerY is a tax-exempt company, and therefore no sales tax is calculated or posted for its transactions. The sales tax payment report will not include any tax-exempt transactions, regardless of the sales tax method used

"C" would imply that CustomerY is the only customer that is transacting.

It can be B and/or C for conditional sales tax, and tax exempt.

correct

Wrong answer, correct answer is for sure A. refer to Microsoft docs: https://docs.microsoft.com/en-us/dynamics365/finance/general-ledger/indirect-taxes-overview in Conditional Sales Tax section Conditional sales tax is a sales tax that is paid proportionally to the actual amount that is paid on an invoice. Conversely, standard sales tax is calculated at invoicing time. Conditional sales tax must be paid to the sales tax authority when the payment is posted, not when the invoice is posted. When the invoice is posted, the transaction must be reported on the sales tax book report. However, the transaction must be excluded from the sales tax payment report.

Why B doesn't correct too? Company Bis using the Conditional Sales tax functionality which allowed to present the TAX only when the INV is being settled with payment /

Correct, customer Y Is a Tax free /Tax exempt company, i.e no taxes, consequently, excluding the posted transactions is correct here